KPIs (or Key Performance Indicators) are an important tool for any marketer.
Used to measure the success of your activity, setting these targets is a key part of campaign planning and strategy.
When planning your KPIs, there are a few things you can do to make sure you set the best targets for your project or activity. Read on to find out our top tips.
Make them SMART
You’ve probably heard this before – it’s an oldie, but a goodie.
But how often do you religiously make sure your KPIs are SMART?
S = Specific
Be really clear about what you want to achieve. Do you want more people to buy your product? Or do you want more to know about your brand?
M = Measurable
Make sure you’ve got the right tools and data to accurately measure your targets. This means you should put numbers to them as well – for example, you might want to get 2% more customers making repeat purchases.
A = Attainable
Be realistic. Stretch goals are great, but you should ensure your targets are actually achievable.
R = Relevant
Do your KPIs match the outcome you’re going after? If you want to know how many people are converting, there’s no point in measuring your brand’s awareness.
T = Time-based
Set a start and endpoint for your KPIs. You can have multiple of these for long-term projects, e.g. where do you want your numbers to be in 6 months, then each year after that?
Set them early
Get your KPIs sorted before your project starts.
It’s much easier to create unbiased targets if you look at them before you kick the activity off. You’ll also risk losing credibility if you retrospectively set KPIs.
Make sure your KPIs match up with your wider business objectives too.
Base them on data
Ground your KPIs in existing data, where possible.
If you’re looking to increase your customer base by X% in the next year, look at how much you grew by last year. Use that number to inform your target and it’s more likely to be realistic.
KPIs are designed to measure the success of your activity – did it get the results you wanted? So, make sure you set KPIs that talk to the results, rather than the activity itself.
For example, you might be planning a sampling campaign. Part of your KPI could be to give 1000 new customers samples, but make sure you include the impact too – e.g. how many people do you want to convert?